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The company you are analyzing shows Net Cash from operations of 3000 - a figure which is higher than each of the last 2 years
The company you are analyzing shows Net Cash from operations of 3000 - a figure which is higher than each of the last 2 years by 10% each year. In addition, the company shows Net cash used for investing activities of 1500 - a figure up by 75% compared to the previous year and up by 100% compared to the year before. The company's net cash for financing activities stood at positive 1000 being up by 50% compared to previous 2 years. The company's income 2 years ago was 3000 and since then was growing at a steady rate of 25% each year. The company has been paying dividends at 50% payout ratio over the past 3 years. Given the above information, carry out a preliminary cash flow analysis highlighting areas of strength and challenge. The company you are analyzing shows Net Cash from operations of 3000 - a figure which is higher than each of the last 2 years by 10% each year. In addition, the company shows Net cash used for investing activities of 1500 - a figure up by 75% compared to the previous year and up by 100% compared to the year before. The company's net cash for financing activities stood at positive 1000 being up by 50% compared to previous 2 years. The company's income 2 years ago was 3000 and since then was growing at a steady rate of 25% each year. The company has been paying dividends at 50% payout ratio over the past 3 years. Given the above information, carry out a preliminary cash flow analysis highlighting areas of strength and challenge
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